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Loan Guarantee Act 1972

REPRINT

PUBLISHED BY

THE COMMISSIONER OF LAW REVISION, MALAYSIA

UNDER THE AUTHORITY OF THE REVISION OF LAWS ACT 1968 IN COLLABORATION WITH MALAYAN LAW JOURNAL SDN BHD AND PERCETAKAN NASIONAL MALAYSIA BHD

2006

Act 66

LOAN GUARANTEE ACT 1972

Incorporating all amendments up to 1 January 2006 066e.fm Page 1 Friday, March 31, 2006 4:07 PM

PREPARED FOR PUBLICATION BY

MALAYAN LAW JOURNAL SDN BHD

AND PRINTED BY

PERCETAKAN NASIONAL MALAYSIA BERHAD

KUALA LUMPUR BRANCH

2006

2

LOAN GUARANTEE ACT 1972

Date of Royal Assent ... ... ... ... ... 26 February 1972 Date of publication in the Gazette... ... ... 29 February 1972 PREVIOUS REPRINTS

First Reprint ... ... ... ... ... 1993

Second Reprint ... ... ... ... 1999

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LAWS OF MALAYSIA

Act 66

ARRANGEMENT OF SECTIONS

LOAN GUARANTEE ACT 1972

Section

1. Short title

2. Provisions of Act 410 applying to loan

3. Ratification of agreement of guarantee

4. Extension to other companies 066e.fm Page 3 Friday, March 31, 2006 4:07 PM

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LAWS OF MALAYSIA

Act 66

LOAN GUARANTEE ACT 1972

An Act to provide for the application of certain provisions of the Loans (Asian Development Bank) Act 1968 [Act 410], to a guarantee by the Federation of a loan by the Asian Development Bank to Malaysian Industrial Development Finance Limited and for matters connected therewith.

[1 March 1972]

BE IT ENACTED by the Seri Paduka Baginda Yang di-Pertuan Agong with the advice and consent of the Dewan Negara and Dewan Rakyat in Parliament assembled, and by the authority of the same, as follows:

Short title

1. This Act may be cited as the Loan Guarantee Act 1972. Provisions of Act 410 applying to loan

2. (1) The following provisions of the Loans (Asian Development Bank) Act 1968, namely:

(a) section 7 (which authorizes the Government to give guarantees and undertakings with respect to

borrowings by statutory authorities from the Asian Development Bank); and

(b) so far as they relate to guarantees and undertakings by the Government, sections 11 and 12 (which contain supplementary provisions for the implementation,

among other things, of any such guarantee or

undertaking), save that for the words "1950" in

subsection 12(5), there shall be substituted therefor the words "1960",

shall apply in relation to any borrowing from that Bank by the company called Malaysian Industrial Development Finance 066e.fm Page 5 Friday, March 31, 2006 4:07 PM

6 Laws of Malaysia ACT 66

Limited as if the company were a statutory authority within the meaning of that Act, and the borrowing were made under subsection 5(1) of that Act.

(2) If any sum is paid out of the Consolidated Fund in respect of any liability incurred by the Government by virtue of subsection (1), the Minister shall as soon as possible beginning with the sitting of the House of Representatives immediately after any such sum was paid and ending with that in which all liability in respect thereof and any interest payable thereon is finally discharged by the company, lay before the House of Representatives at each of its sittings a statement relating thereto. (3) Paragraph 12(2)(a) and (b) (which provides for exemptions from taxation and from exchange control) shall also apply in relation to any agreement concluded, whether before or after the passing of this Act, with the Bank by the company, with the approval of the Government, in respect of any borrowing by the company from the Bank, and to any bond, promissory note or instrument issued by the company pursuant to any such agreement, as they apply to the agreements and instruments there mentioned.

Ratification of agreement of guarantee

3. The agreement of guarantee heretofore concluded between the Government in the name of the Federation and the Bank is hereby ratified and validated in all respects and shall have effect for all purposes as if the provisions of this Act had been in force on such date and the said agreement had been duly concluded and executed in exercise of the powers conferred by or under this Act. Extension to other companies

4. If a resolution be passed by the House of Representatives that section 2 of this Act shall apply to any company, as they apply to the Malaysian Industrial Development Finance Limited, then the Minister may, by Order published in the Gazette, declare that the said provisions of the Act shall apply to that company. 066e.fm Page 6 Friday, March 31, 2006 4:07 PM

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LAWS OF MALAYSIA

Act 66

LOAN GUARANTEE ACT 1972

LIST OF AMENDMENTS

LIST OF SECTIONS AMENDED

Amending law Short title In force from

­ NIL ­

Section Amending authority In force from

­ NIL ­

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